IN THE HIGH COURT OF BOMBAY
N.M. JAMDAR, J.
Sandip Baliram Sandbhor & Ors. - Petitioners
Vs.
Pimpri Chinchwad Municipal Corporation & Ors. - Respondents.
Writ Petition No. 262 of 2015
Decided On : 03-12-2015
INDUSTRIAL DISPUTE - PUBLIC EMPLOYMENT - REGULARIZATION OF SERVICES - UNFAIR LABOUR PRACTICE - STANDING ORDERS ACT - APPLICABILITY - BREACH OF CLAUSE 4-A - DEEMED CONFIRMATION - BACK DOOR ENTRY - VIOLATION OF ARTICLE 14 AND 16 OF THE CONSTITUTION OF INDIA - NO RIGHT OF CONFIRMATION - NO UNFAIR LABOUR PRACTICE - NO BREACH OF ITEM 5 OF SCHEDULE IV - NO RELIEF OF CONTINUANCE OR AGE RELAXATION.
Fact of the Case:
Petitioners, initially working on Class IV post in Talera Hospital through a contractor, continued to work for seven months with the Respondents after the contract with the contractor ended. Apprehending discontinuance, they filed a complaint (ULP) No. 177 of 2005 seeking permanency in services of the Respondent – Corporation and parity in wages with other Class IV employees. The complaint was dismissed by the Industrial Court, Pune.
Finding of the Court:
The Industrial Court held that the provisions of the Bombay Industrial Employment (Standing Orders) Act, 1946 (Standing Orders) Act are not applicable to the Respondents. Even assuming the Standing Orders apply, there is no question of breach of Clause 4-A of the Standing Orders as the Petitioners were not appointed after following regular procedure and they cannot therefore seek permanency upon completion of three months' period. The Industrial Court also held that the Petitioners hardly worked for seven months and therefore, there was no question of granting them any permanency.
Issues: 1. Applicability of the Standing Orders Act to the Talera Hospital. 2. Whether there was a breach of Clause 4-A of the Standing Orders. 3. Whether the Petitioners were entitled to permanency in services. 4. Whether there was a breach of Item 5 of Schedule IV of the M.R.T.U. & P.U.L.P. Act, 1971.
Ratio Decidendi: 1. The Standing Orders Act applies to an Industrial Establishment as defined in the Payment of Wages Act, 1936 or a factory as defined in the Factories Act, 1948 or a railway as defined in the Indian Railways Act, 1890. Talera Hospital is a severable entity and is not an Industrial Establishment. 2. Clause 4-A of the Standing Orders provides for deemed confirmation of a probationer after a period of three months of uninterrupted service. However, this provision is subject to the condition that the appointment of the probationer must be in accordance with the law and the Standing Orders. In the present case, the Petitioners were not appointed in accordance with the law and the Standing Orders, and therefore, they cannot claim deemed confirmation. 3. The Petitioners are not entitled to permanency in services as their entry into public employment was in violation of Articles 14 and 16 of the Constitution of India. There was no unfair labour practice on the part of the employer and no breach of Item 5 of Schedule IV of the M.R.T.U. & P.U.L.P. Act, 1971.
Final Decision: The Petition is dismissed. Rule discharged. No order as to cost.
Rule. Rule made returnable forthwith. Respondents waive service. Taken up for disposal.
2. The Petitioners, nineteen in number, challenge the Award passed by the Industrial Court, Pune dismissing their Complaint (ULP) No. 177 of 2005.
3. The Respondent No.1 is a local authority constituted for the Pimpri Chinchwad area, under the provisions of Bombay Provincial Municipal Corporation Act, 1949. The Respondent No.2 is the Municipal Commissioner. Respondent No.3 is the Medical Officer of Health in the services of the Municipal Corporation. The Respondent – Corporation has a public hospital known as Talera Hospital at Chinchwad. The Petitioners were initially working on Class IV post in Talera Hospital, through a contractor M.P. Enterprises. The contract with M.P. Enterprises came to an end by September 2004 and thereafter, the Petitioners continued to work for seven months with the Respondents, and apprehending their discontinuance, they filed a complaint (ULP) No. 177 of 2005.
4. The complaint was filed seeking permanency in services of the Respondent – Corporation and for parity in wages with other Class IV employees. In the complaint, it was contended as follows : the provisions of Bombay Industrial Employment (Standing Orders) Act, 1946 (Standing Orders) Act are applicable to the Respondents. In the Talera Hospital, there are 47 permanent Class IV employees. There were 14 posts of Ward Boy, 17 posts of Ward Aayas, 7 posts of Safai Kamgar, 3 posts of Laborers, 1 post of Peon, 4 posts of Mehetar and 1 of Kachara Kuli. Considering the heavy load of workload due to 100 beds of indoor patients and 500 OPD, the Respondents appointed M.P. Enterprises through which the Petitioners were working. The contract with M.P. Enterprises ended by September 2004. By the end of September 2004, there were 47 permanent Class IV employees and 23 contract laborers as Class IV employees through M.P. Enterprises. The Petitioners personally met the Respondent Nos. 2 and 3 on or about 20 September 2004 who assured them that the Petitioners will be absorbed in service however, will have to go through some procedure and other legal formalities. The Respondent Nos. 2 and 3 asked the Petitioners to continue to work in Talera Hospital as probationers and promised to give them appointments. Thereafter, the Petitioners continued to work without any appointment orders, with an expectation that they would get due appointment orders as permanent employees and since they apprehended termination, they filed the complaint. After completion of three months uninterrupted service as probationers, they had become permanent and the action of the Respondents was in breach of 4-A of the Standing Orders and by not giving effect to this legal provision, the Respondents committed unfair labour practice as per Item 9 Schedule IV of M.R.T.U. & P.U.L.P. Act, 1971 (Act of 1971). The Petitioners were being treated differently that the other Class IV employees and therefore, there was a breach of Item 5 of Schedule IV of M.R.T.U. & P.U.L.P. Act. Accordingly, the Petitioners sought permanency in services with all consequential benefits.
5. The Respondents filed their reply and opposed the reliefs sought. It was contended as follows : the Petitioners were never in direct employment of the Respondents. They were employees of a contractor and therefore, there was no question of any employer employee relationship. The entry of the Petitioner was a back door entry and upon conclusion of the arrangement with M.P. Enterprises, the Petitioners were working on casual basis. There was no such assurance or undertaking that the Petitioners will be employed on permanent basis. In fact, permanent post cannot be filled bypassing the recruitment procedure. The Respondents committed no unfair labour practice. The Standing Orders are not applicable to Talera Hospital as it is not an Industrial Establishment. The arrangement with the contractor had come to an end and bypassing the recruitment p
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